Nasdaq futures rebound as chip stocks recover from sharp selloff

Nasdaq futures rebounded Friday as chip stocks recovered from a sharp selloff that erased about $3 trillion from S&P 500 companies, driven by concerns over Democratic control of Congress and potential AI regulation. US nonfarm payrolls rose by 165,000 in October, beating expectations of 65,000, while the unemployment rate fell to 4.1 percent from 4.2 percent, signaling labor market resilience and giving the Federal Reserve room to focus on inflation. The Fed kept rates at 3.75-4 percent last week, with markets pricing over 65 percent odds of a December hike. Nvidia rose 4.5 percent premarket after its worst daily loss since January 2025, while other chip stocks gained between 4.6 and 8.2 percent.